---
kind: "section"
citation: "43 C.F.R. § 3137.81"
title: "43"
number: "3137.81"
heading: "What is the function of a participating area?"
url: "https://uscodex.org/cfr/43/3137.81"
---

# §3137.81. What is the function of a participating area?

- (a) The function of a participating area is to allocate production to each committed tract within a participating area. The BLM will allocate production for royalty purposes to each committed tract within the participating area using the allocation methodology agreed to in the unit agreement (see [§ 3137.23(g)](/cfr/43/3137.23.md?p=g) of this subpart).
- (b) For exploratory and primary recovery operations, BLM will consider gas cycling and pressure maintenance wells when establishing participating area boundaries.
- (c) For secondary and tertiary recovery operations, BLM will consider all wells that contribute to production when establishing participating area boundaries.

## Notes

### Amendments

[67 FR 17886, Apr. 11, 2002, as amended at 73 FR 6444, Feb. 4, 2008]

### Source

Source: 67 FR 17886, Apr. 11, 2002, unless otherwise noted.

### Authority

Authority: 42 U.S.C. 6508, 43 U.S.C. 1733 and 1740.

### Source

Source: 46 FR 55497, Nov. 9, 1981, unless otherwise noted.

### Amendments

[67 FR 17886, Apr. 11, 2002, as amended at 73 FR 6444, Feb. 4, 2008]